CREDICORP Unveils Pension-backed Loan Scheme To Empower Nigerian Retirees

The Nigerian Consumer Credit Corporation (CREDICORP) has launched an unprecedented pension-backed loan programme designed to give retirees access to affordable credit, marking a historic step in Nigeria’s consumer finance sector.

The initiative, unveiled on Thursday in Abuja under the theme ‘Empowering Retirement with Consumer Credit’, is being implemented in partnership with Leadway Trustees and Optimus Bank. It seeks to provide senior citizens with tailored, low-interest loans using their pension income as collateral.

For decades, consumer credit in Nigeria has largely excluded retirees, leaving them unable to access financing for pressing needs such as healthcare, home renovations, small business ventures, and family support. The new scheme aims to bridge this gap by integrating annuitants into the nation’s credit ecosystem.

Speaking at the signing of a Memorandum of Understanding (MoU), CREDICORP Managing Director/Chief Executive Officer, Engr. Uzoma Nwagba, described the programme as a “first-of-its-kind product” that would redefine consumer credit for Nigeria’s elderly population.

His words: “The programme leverages pension income, offering retirees tailored, low-interest loans that are both secure and sustainable. This first-of-its-kind product ensures that Nigeria’s seniors can access credit with dignity, without the burden of exorbitant rates or complex processes.”

Nwagba further stressed the importance of recognising retirees as a vital part of the country’s progress: “Annuitants are the backbone of Nigeria’s progress, yet they have been sidelined in the credit ecosystem. This programme changes that narrative. By partnering with Leadway Trustees’ expertise in pension management we are delivering a credit solution that is safe, affordable, and transparent. This is consumer credit redefined—inclusive, equitable, and empowering.”

He also commended President Bola Tinubu for driving financial inclusion through the Renewed Hope Agenda, noting that the pension-backed loan scheme reflects the administration’s commitment to creating opportunities for all Nigerians.

“Retirees, after years of dedicated service to the country, deserve access to affordable financing for healthcare, small businesses, home improvements, and family needs,” he said.

The scheme, which covers both federal and state pensioners, is expected to significantly improve financial access for senior citizens and ease the burden of post-retirement living in Nigeria.